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HNA Group
China

China’s embattled HNA might sell US-based Radisson Hotel Group to pay off its debt

HNA has been aggressively selling assets this year to pay down heavy debt incurred during a multi-year buying spree

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A HNA Group logo is seen on the building of HNA Plaza in Beijing, China, in February. Photo: Reuters
Bloomberg

HNA Group, the Chinese conglomerate selling assets to pay down debt, is exploring a sale of Radisson Hotel Group, according to people familiar with the matter.

HNA has been gauging interest from rival hotel chains and other potential buyers of the Minneapolis-based company, said the people, who asked to not be identified because the matter isn’t public. There is no certainty the talks will lead to a sale, they said.

HNA dissolves Hong Kong unit as it struggles to repay debt

“While it has been widely reported that HNA has recently been exploring the sale of some of its assets, we are in a very strong place with our business and remain committed to our go-forward strategy,” John Kidd, chief executive of Radisson’s operations in the Americas and Asia-Pacific, said in a statement.

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“Any additional questions about a potential sale would need to be answered by HNA,” he added. A representative for HNA declined to comment.

HNA has been aggressively selling assets this year to pay down heavy debt incurred during a multi-year buying spree. It agreed to sell a Minneapolis office tower for US$320 million to Samsung Group, people familiar with the matter said earlier this month. It has also sold down stakes in Deutsche Bank AG and Hilton Worldwide Holdings Inc.

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A view of flags flying opposite the Radisson Blu Sky Hotel during the 12th edition of the Lennart Meri Conference in Tallinn, Estonia, on June 1. Photo: EPA-EFE
A view of flags flying opposite the Radisson Blu Sky Hotel during the 12th edition of the Lennart Meri Conference in Tallinn, Estonia, on June 1. Photo: EPA-EFE
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